Shandong Sinocera Functional Material Co., Ltd. (300285) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Shandong Sinocera Functional Material Co., Ltd.

Why is Shandong Sinocera Functional Material Co., Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 12.35% and Operating profit at 0.10% over the last 5 years

Positive results in Sep 25

OPERATING CASH FLOW(Y) Highest at CNY 1,048.22 MM
INTEREST COVERAGE RATIO(Q) The company hardly has any interest cost
RAW MATERIAL COST(Y) Fallen by -3.39% (YoY)

With ROE of 9.82%, it has a fair valuation with a 3.15 Price to Book Value

Over the past year, while the stock has generated a return of 66.67%, its profits have risen by 5.2% ; the PEG ratio of the company is 6.2
At the current price, the company has a high dividend yield of 0.7

Majority shareholders : FIIs

Market Beating Performance

The stock has generated a return of 66.67% in the last 1 year, much higher than market (China Shanghai Composite) returns of 13.33%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Shandong Sinocera Functional Material Co., Ltd. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Electronics & Appliances)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Shandong Sinocera Functional Material Co., Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shandong Sinocera Functional Material Co., Ltd.

69.37%

1.26

54.38%

China Shanghai Composite

13.33%

0.90

14.74%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.35%

EBIT Growth (5y)

0.10%

EBIT to Interest (avg)

42.88

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

0.01

Sales to Capital Employed (avg)

0.53

Tax Ratio

12.85%

Dividend Payout Ratio

24.67%

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

12.74%

ROE (avg)

11.12%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.15

EV to EBIT

32.82

EV to EBITDA

21.50

EV to Capital Employed

3.08

EV to Sales

5.22

PEG Ratio

6.21

Dividend Yield

0.73%

ROCE (Latest)

9.38%

ROE (Latest)

9.82%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

No Trend

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

7What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 1,048.22 MM

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

RAW MATERIAL COST(Y)

Fallen by -3.39% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 3 times

-4What is not working for the Company

OPERATING PROFIT(Q)

Lowest at CNY 178.52 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 15.81 %

Here's what is working for Shandong Sinocera Functional Material Co., Ltd.

Operating Cash Flow

Highest at CNY 1,048.22 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Inventory Turnover Ratio

Highest at 3 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -3.39% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Shandong Sinocera Functional Material Co., Ltd.

Operating Profit

Lowest at CNY 178.52 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CNY MM)

Operating Profit Margin

Lowest at 15.81 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales